AIRDA predicts bright future for timeshare in India
The chairman of India’s timeshare body the All India Resort Developers Association (AIRDA) says India’s landmark National Tourism Policy will have a give a huge boost to tourism in the country, and timeshare businesses should aim to make the most of the opportunity.
In his latest address to members, B. S. Rathor, who is also principal advisor of the AIRDA Executive Committee, said India presents a geography with vast interiors, giving timeshare a wide canvas – especially at popular tourist locations – and the industry has looked for incentives linked with investments in these areas, which are key drivers for tourist traffic.
“In addition to propelling growth, timeshare can result in employment generation and the creation of small entrepreneurial opportunities within local communities. The ripple effect here is about three times the direct investment, according to a recent survey,” he explained.
“By adopting best practices from world leaders and deploying workable models within the country, timeshare also falls within the definition of ‘Make-in-India’ – which can be a great source of inspiration and encouragement.”
Mr Rathor said the timeshare industry is still at an early stage of development and growth. The compound annual growth rate (CAGR) in the past several years has been 15-18% and is expected to display sustained growth in the near future.
Mr Rathor said the encouraging factor was the shift or widening of demographic profiles. He added: “The age group that was confined to 35 years now includes profiles below and above our target group listings. It includes younger target prospects on the one hand and senior citizens on the other, who make up a sizeable portion of the demographic cluster.
“Today’s consumer has a higher propensity to spend on planned vacations and there is a growing demand for holidays that offer the family unique holiday experiences – in newer, largely undiscovered tourist locations in the country.”
He also discussed what industry stakeholders need to do, as well as the important role played by AIRA, to ensure the future for the industry, which he said looks promising as holiday-taking becomes more popular in India.
“The concept of leisure holidays is increasingly becoming an annual event and almost falls into the category of ‘essential’ things to do in the year,” he said.
“Under the AIRDA umbrella, I firmly believe we have a great product that is fast evolving with the needs of our customers. And being a lifestyle product, I also see growth linked to changes in lifestyle and rising disposable incomes.”
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